We want to highlight a new Freddie Mac mortgage program designed to extend home ownership to more borrowers. Freddie Mac, in collaboration with Alterra Home Loans and New American Funding, launched the Your Path Mortgage Program to address the growth in multi-generational households and increase in borrowers with non-traditional income sources.
Similar to other low down payment programs, Your Path only requires a 3.0% down payment but offers more flexible mortgage qualification requirements that should expand the pool of potential home owners. Innovative features of the program include:
- Include income from non-borrower household members
- Include income from a second job with only a year of work history
- More options for self-employed borrowers to demonstrate income
- Flexibility to include income from seasonal employment
- Reduced documentation required to show source of down payment
We provide a comprehensive overview of the Your Path Mortgage Program on FREEandCLEAR including key program information and borrower eligibility requirements.
We also added the program to our informative comparison of low and no down payment mortgage programs. Our comparison chart continues to be a highly valuable tool for borrowers and housing advocates to compare, contrast and select a low or no down payment mortgage program.
Comparison of low down payment mortgage programs
Although the Your Path Program was announced as a twelve month pilot program, it represents another potentially attractive mortgage option for low-to-moderate income home buyers along with competing programs such as the HomeReady and FHA Mortgage programs.
Please review our resources and share your feedback as we are always seeking input on how to improve FREEandCLEAR.